In Europe, Greece was outlining the details of a plan for the country to lower its debt burden by purchasing its bonds back from private-sector investors at lower prices. The details will be presented to the finance ministers of the 17 European Union countries that use the euro at their meeting in Brussels later Monday.

Besides ironing out the remaining details on Greece's debt relief program, the ministers are also likely to discuss a bailout for Cyprus. No final decision on the bailout is expected Monday, however as its size depends on an experts' report that has not yet been completed.

Meanwhile, investors will also keep monitoring progress of U.S. budget negotiations. Lawmakers need to reach an agreement to avoid the so-called fiscal cliff — a package of tax increases and government spending cuts that will automatically take effect in 2013 unless lawmakers take action.

Economists have warned that the package's high cost could throw the U.S. back into recession.

Earlier, Asian stocks performed with less conviction than their European counterparts.

Analysts said this was likely due to the fact that more upbeat indicators may reduce the Chinese government's willingness to provide new stimulus to the economy. While the Chinese manufacturing survey was a positive signal for global demand, it lowered the chances of easier credit for Chinese companies.

Benchmark oil for January delivery was down 4 cents to $88.87 per barrel in electronic trading on the New York Mercantile Exchange. The contract rose 84 cents to close at $88.91 in New York on Friday.

In currencies, the euro rose to $1.3032 from $1.3002 Friday in New York. The dollar fell to 82.12 yen from 82.50 yen.